Redacted_DIRECT_J_and_A_for_PEO_level_.pdf

Justification and Approval (J&A) for Other Than Full and Open Competition

Page 1 of 4Updated: 15 Mar 16

NOTE: If a Justification and Approval was approved for the preceding acquisition, a copy of the approved J&A for the predecessor action must be included in the staff package for approval of the instant J&A. This applies to J&A staff packages that are submitted for review and approval at a level above the contracting officer. The predecessor J&A will be used as a reference document by the approving official.

Choose the funding level for this J&A Document:

< $700K > $700K and < $13.5M > $13.5M and < $93M > $93M

Contracting Activity:

Defense Injection Reception Emergency Action Message (EAM) Command & Control (C2) Terminal (DIRECT), DIRECT Limited Injection Terminal Equipment (DIRECT LITE) and Alternate Injection Terminal (AIT) Production & Contract Logistics Support (CLS) Contract.

Purchase Request / Local ID Number: FD2060-15-90953

Program / Project (and PE, if applicable): DIRECT, DIRECT LITE and AIT

Program Type (PEO or Other Contracting): PEO

Authority (include full title): 10 U.S.C. 2304(c) (1), as implemented by FAR 6.302-1

Estimated Contract Cost (including options): J&A Type: Class Individual

COORDINATION (AFFARS 5306.304(a) )

APPROVAL (AFFARS 5306.304(a) )

Date Program Executive Officer C3I&N

Maj Gen DWYER L. DENNIS

AFLCMC/HN/845-1605

Signature

DENNIS.DWYER.L.

1035050392

Digitally signed by DENNIS.DWYER.L.1035050392 DN: c=US, o=U.S. Government, ou=DoD, ou=PKI, ou=USAF, cn=DENNIS.DWYER.L.1035050392 Date: 2016.08.08 14:20:05 -04'00'

Page 2 of 4Updated: 15 Mar 16

I. Contracting Activity.

This Justification and Approval requests authority for Other Than Full and Open Competition to support requirements generated for the Air Force Life Cycle Management Center, Common Avionics Branch (AFLCMC/WNYBBA). The contracting activity for this requirement is Air Force Life CycleManagement Center (AFLCMC/WNYKA). The purchase request number supporting this contracting action is FD2060-15-90953.

II. Nature and/or description of the action being processed.

Due to the circumstances described herein, the activity requests authority to acquire the Services listed in this document using Other Than Full and Open Competition as prescribed by FAR 6.302-1, Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements. This action will result in the award of a new contract, which will be a Firm Fixed Price (FFP), Cost Plus Fixed Fee (CPFF) and Cost Reimbursable No Fee (CRNF) Contract Line Item Numbers (CLINs); CPFF CLINs shall be utilized only in support of on-site Defense Injection/Reception Emergency Action Message (EAM) Command and Control (C2) Terminal (DIRECT) Maintenance Representatives (DMR's), CRNF CLINs shall be utilized only in support of Travel and Per Diem.

The contract will have a Basic 12-month for Contractor Logistic Support (CLS) and Production plus four (4) ordering periods. This sole source requirement will be purchased from the following company: General Dynamics C4 Systems, CAGE 04655.

III. Description of supplies/services required to meet agency needs.

The purpose of this effort is to procure CLS and Production support for the Defense Injection/Reception Emergency ActionMessage (EAM) Command and Control (C2) Terminal (DIRECT), DIRECT-Limited Injection Terminal Equipment (DIRECT-LITE) and/or Alternate Inject Terminal (AIT). DIRECT is a component of the Minimum Essential Emergency Communications Network (MEECN). DIRECT LITE is a laptop version of the DIRECT system with only the ability to go out over one communication channel at a time instead of multiple communication channels as the DIRECT System. The contract Period of Performance (PoP) will be five (5) years (one 12-month basic with four ordering periods). This effort provides CLS and Production services to support DIRECT, DIRECT-LITE and/or AIT as applicable. Tasks for this effort shall include, but are not limited to the following: Total on-site management coverage, software updates, logistics, procurement, Information Assurance (IA), field support, engineering services, production and other support as directed by the Government. Total on-site management coverage includes removal & replacement (R&R), repairs of failed units, and on-site support. Software updates consist of bi-annual and special changes as directed by the Government. DIRECT Operational Requirements Document (ORD) dictates a 99.999% operational availability (Ao). The ORD requires continued coverage with no break in service allowed for this Nuclear Command and Control (NC2) system. The actual requirement for timing and coverage specifics for the system are classified. The Production effort will begin during the 12-month basic, targeted start date is July 2016. The CLS effort is targeted to start 01 January 2017. DIRECT CLS utilizes a two-level maintenance concept, organizational and depot. Organizational and software maintenance are required to be performed in TOP SECRET/OPSPLAN8010-ESI facilities. Two Government-owned DIRECT EngineeringDevelopmentModel (EDM) systems, one production systemand twoMessage Generator/Receivers. They are used in the Direct Software Support Facility (DSSF) lab as test and maintenance support equipment. Total estimated contract cost is $53M. The CLS portion of this contract will be funded with 3400 Intercontinental BallisticMissile (ICBM) Centralized Asset Management (CAM) funds and production portion with 3080 funds. The production portion of the contract will require the contractor to produce a DIRECT system, DIRECT LITE and/or AIT in order to meet mission and operational requirements. In addition to the production, this contract will require the contractor to provide CLS. As part of CLS, the contractor will perform software maintenance consisting of updates to implement changes to OPSPLAN 8044 templates and values as well as to correct problems and incorporate enhancements driven by user and security requirements. The CLS effort will include sustainment at each site. The CLS portion of the contract will also include work requests for repair of failed Line Replaceable Units (LRUs) in support of the program. Based on the previous five (5) years of maintenance data, repairs to theMessage Processor, Message Release Function, OperatorWork Station, and other possible components are anticipated. Under CLS, the contractor will be required to produce Special Studies for DIRECT. Special Studies are categorized as those studies associated with new DIRECT interfaces and applications and their use in the overall Minimum Essential Emergency Communications Network (MEECN) Network. For example, these Special Studies will evaluate new communication interfaces or performance improvements. As part of CLS, this contract will also include Sustainment Engineering Analyses. These analyses are categorized as those associated with the current performance or sustainment of the system in the overallMEECN Network. The DIRECT ORD requires automated capability to transmit and receive EAMs over "all available communication channels with an expansion capability for future communication systems". This contract will provide for updated communication interfaces to maintain connectivity as operational communication requirements evolve. While the timing of specific interface changes is not known, technology and mission evolution will require changes to all systems covered by this J&A. In summary, this effort is to procure CLS and Production of DIRECT, DIRECT-LITE and/or AIT. This contract will ensure the continued operation, sustainment, improvement and production of the DIRECT, DIRECT LITE and AIT systems by providing complete on-site and depot level maintenance; by completing Studies and Analyses necessary for the long-term effectiveness of the system; and by ensuring that equipment modifications maintain the high availability required in the future and avoid system degradation caused by parts obsolescence.

IV. Statutory authority permitting Other than Full and Open Competition.

10 USC 2304(c)(1), as implemented by FAR 6.302-1 Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements.

V. Demonstration that the contractor's unique qualifications or nature of the acquisition requires the use of the authority cited above (applicability of authority).

The agency's minimum needs can only be satisfied by the unique supplies or services available from the above cited source, which possesses the unique

) j ( ) DIRECT LITE is a laptop version of the DIRECT system with only the p g y ( ) p p ability to go out over one communication channel at a time instead of multiple communication channels as the DIRECT System.

g g g DIRECT CLS utilizes a two-level maintenance concept, organizational and depot.

n TOP SECRET/OPSPLAN8010-ESI q OPSPLAN 8044 t

Page 3 of 4Updated: 15 Mar 16 capabilities demonstrated as follows: DIRECT, DIRECT LITE and AIT enable Nuclear Component Commanders to generate, release, transmit, receive, process, acknowledge, and be awarded to any other source without a potential risk of unacceptable delays fulfilling the critical requirements of our nuclear deterrence forces. An uninterrupted, totally seamless transition of sustainment is mandatory in order to maintain the 99.999% operational availability required by this critical nuclear command and control system. GD, as the Original Equipment Manufacturer (OEM) of the DIRECT System, possesses detailed knowledge of how the mission software is designed and operates. GD developed and fielded the DIRECT system that provides the National Command Authority (NCA) and the Chairman, Joint Chiefs of Staff (CJCS) with connectivity to strategic and non- strategic nuclear forces. The Government currently does not possess a complete data package in a format that would permit full and open competition. Only GD, with their extensive system knowledge can guarantee DIRECT, DIRECT-LITE and AIT continued ability to meet the Nuclear Command Control Communications (NC3) community's extreme security IA and Ao requirements. GD's system knowledge is critical in maintaining the software design without system degradation of the hardware/software interfaces functionality and reliability. GD is the only source with the required expertise and knowledge of the software. They are the only source capable of sustaining DIRECT, DIRECT-LITE, and AIT, manufacturing, assembling, inspecting and performing acceptance testing of the Prime Mission Equipment (PME) for the items produced. All these critical attributes have an adverse impact on strict timelines driven by an Ao requirement (system timelines and timing are "classified" IAWCJCS manual requirements).

The DIRECT sites all over the world in unspecified locations have unique operational requirements and GD is the only source with the knowledge and expertise to sustain, manufacture, design, develop, and produce an equipment suite with unique communications systems interfaces peculiar to each command center. The extensive knowledge of the overall system and its functionality enables GD to perform this effort while maintaining the Ao requirement of 99.999%. The connectivity and communication capabilities must not be tampered with nor hinder the NC3 users' Ao metric of 99.999%. Currently, GD is the only source capable of meeting the agency's requirements while maintaining the Ao requirement of 99.999%. GD is the only firm capable of providing the supplies and services described in Section III above without the U.S. Air Force experiencing unacceptable delays in fulfilling its requirements. The Government currently does not possess a data package in a format that would permit full and open competition. An engineering technical data package was delivered by GD under contract awarded by Electronics Systems Center (ESC). Engineering Data Management Office (EDMO) reviewed the technical data package and determined it was incomplete and not suitable for a full and open competitive acquisition. An updated data package was delivered on 01 August 2013 by GD. The engineering technical data package has been reviewed by the Government program engineer and the EDMO. It was determined to have multiple missing drawings and formatting errors. Currently, GD is reviewing the Governments comments for validity and solutions. The Program Office is expecting a recommended resolution to be delivered in the 2nd quarter of FY16. The Government has determined the actions required to bring the engineering technical data package to the level required for competitive acquisition is over and above the data deliverable requirements of the ESC contract. Based on similar engineering project data, the Government estimates it will cost $1.5Mand take two (2) plus years to acquire services to correct the level-III technical data package. Based on the Cost Benefit Analysis, completed by AFLCMC/WNYEDAon 30 Jul 15, reverse engineering the entire technical data package is estimated to take five (5) to six (6) years at cost of $11.6M. Completion of this data effort is subject to the availability of funding. GD currently maintains a suite of software development equipment and tools that make up the Software Support Facility. To avoid any degradation of system availability, an additional suite of this equipment would have to be procured for a new contractor. No other source than GD is known to have facilities, equipment, and personnel currently available to perform the workload described herein. According to the Defense Investigative Service, almost two (2) years is required to approve, construct and staff a new facility for the processing of information applicable to this requirement. GD already possesses this capacity and is currently qualified to perform this critical national nuclear program workload. Moreover, GD already possesses the EDM and production DIRECT systems necessary for utilization during integration and testing changes made during this effort. These systems also allow GD to make side-by-side comparisons when testing the system and comparing the results to the system which is extremely crucial in making sure all are working 100% before being sent out to the field. Based on engineering project data, it is estimated to take 18 months to produce an additional field system at an estimated cost of $2.6M. Furthermore, GD's Software Development Environment (SDE), DIRECT- unique Message Generator/Receiver (MGR), and other workstations required for the trusted download of the executable code and for the duplication of CDs and PCMCIA cards for distribution to the field have been accredited by the Defense Security Service (DSS). All changes to it require DSS approval. The SDE already contains the software tools (e.g., compilers, configuration management, GUI builder, etc.) required to build the software and the build procedures, build scripts, and trusted download steps needed to create the required software media. The Government estimates it would take another vendor 18 to 24 months to receive DSS accreditation of their system. Finally, a field support system is required to install, test, and maintain the system and required updates. GD possesses the support system in their facility. Another vendor would require the same type field support system. The Government estimates it would take another 18 months for a new vendor to build and establish a field support system. Thus, the Government estimates it would take 8.5 years to establish a new source (two (2) years for the data package to be ready, two (2) years to approve, construct and staff a new facility for the processing of information applicable to this requirement, 18 months to produce an additional field system that will allow another source to make side-by-side comparisons when testing the system, 18 to 24 months to receive DSS accreditation, and 18 months to establish a field support system). DIRECT, DIRECT LITE and AIT are vital to maintaining communication and control over our nuclear deterrence forces. Any loss of control or break in communication with our nuclear deterrence force could lead to tragic and disastrous consequences.

Accordingly, GD is the only firm capable of providing the supplies and services described in Section III above without the U.S. Air Force experiencing substantial duplication of cost that could not be expected to be recovered through competition and unacceptable delays in fulfilling its requirements.

VI. Description of efforts made to ensure that offers are solicited from as many potential sources as practicable.

This requirement will be synopsized on the Federal Business Opportunities (FedBizOpps) web page as required by FAR 5.201 citing conditions which preclude full and open competition. It is anticipated that sources having an interest in subcontracting may be identified through synopsis.

VII. Determination by the Contracting Officer that the anticipated cost to the Government will be fair and reasonable.

The price of this acquisition will be fair and reasonable to the Government. General Dynamics will be required to provide certified cost or pricing data in accordance with FAR 15.403-4. The certified cost or pricing data will be evaluated utilizing cost analysis techniques as required by FAR 15.404-1. A technical analysis as described in FAR 15.404-1(e) shall also be requested to assist the Contracting Officer in accurately evaluating the contractor's proposed prices.

Negotiations will be held in accordance with FAR Part 15 procedures to ensure the ultimate price is both fair and reasonable to the Government.

and the g p Chairman, Joint Chiefs of Staff (CJCS) w q p ( ) p (system timelines and timing are "classified" IAWCJCS manual requirements) t $1.5Ma f $2.6M.

p $11.6M.

Page 4 of 4Updated: 15 Mar 16

VIII. Description of the market research conducted and the results, or a statement of the reasons market research was not conducted.

Market Research was conducted June 2015 pursuant to FAR Part 10.001 and 10.002. Internet search (http://www.gdc4s.com/, http://www.ac4s.com/) methods were used. Results from System for Award Management (SAM) identified General Dynamics as the DIRECT manufacturer. The SAMs search returned two additional potential vendors. These vendors were evaluated based on experience and capability and deemed non-capable of carrying out tasks required by this DIRECT effort. Search was performed using NAICS 541330 through the Small Business Administration (SBA) Dynamic Small Business Search system. These searches resulted in no additional sources with the required capabilities identified. A Request for Information (RFI) was posted on FedBizOpps 30 July 2014 under title RFI-DIRECT-01. The Government received only one response from General Dynamics on 11 September 2014. There are no commercial applications for the DIRECT system. This system is military unique.

After analysis of all search results, the conclusion was GD is the only source with the capability, knowledge, and expertise to perform the CLS and Production of DIRECT effort.

IX. Any other facts supporting the use of Other Than Full and Open Competition.

None

X. List of sources, if any, that expressed interest in the acquisition.

See Section VI above.

XI. A statement of the actions, if any, the agency may take to remove or overcome any barriers to competition before making subsequent acquisitions for the supplies or services required.

The existing data package is not adequate to enable any other contractor to perform production and sustainment of this critical national nuclear program effectively. The Government does not possess an adequate technical data package to support full and open competition. A reverse engineering effort of the entire technical data package is estimated to cost $11.6Mand take five to six years to complete, however the Government owns technical data but it's currently inadequate for competitive acquisition. It's estimated to cost $1.5M to bring the data to level III competitive standards. GD is evaluating the deficiencies with response to the Government due 2nd Qtr. 2016. Once corrective action is determined, the Government estimates it will take two years to complete the data package. There is no projected end of life for this nuclear system.

Competition of future follow-on efforts will be accomplished once the technical data package is complete, validated/verified, and accepted by the Government unless unacceptable delays or national security requires utilization of GD as the only approved source with the technical expertise and past performance to meet the 99.999% Ao requirement.

XII. Certification by the Contracting Officer.

As evidenced by my signature above, I have determined this document to be both accurate and complete to the best of my knowledge and belief. The contracting officer's signature on the Coordination and Approval Document evidences that he/she has determined this document to be both accurate and complete to the best of his/her knowledge and belief (FAR 6.303-2(b)(12)).

XIII. Certification by the technical/requirements personnel.

As evidenced by my (our) signature(s) above, I (we) certify that any supporting data contained herein, which is my (our) responsibility, is both accurate and complete.

t $1.5M t q t $11.6Ma